SSE and nPower merger talks

D_M_E

Personally I think it should be referred to the Competitions and Marketing Authority since, as has been pointed out, it will mean over 50% of the market will be in the grip of two suppliers.

Having said that, there should be economies of scale in that the said 2 suppliers could have greater bargaining power when it comes to buying the energy which they sell on to us the consumers and they should therefore be able to pass on lower prices - now what gave me that idiotic idea?

Also, I agree there will be some redundancies, but where from - SSE or NPower staff - and which system will be scrapped, SSE's or NPower's?

I.T. systems are well known for using different operating procedures and being unable to "talk" to each other so there will or should be some overlap while a "new" bill handling - another debacle in the making? - system is designed and implemented.

MothballsWallet

Hengus wrote: »

Labour is now demanding that the proposal goes to the CMA for review. According to the FT, industry and competition experts are divided on the need for a CMA review given that the new company will be smaller than BG. SSE/NPower hope to be up and running by the end of the year. Could be a worrying run up to Christmas for employees working for SSE and NPower. Words like ‘savings through economies of scale’ are being liberally cast around by both companies.

I used to work for nPower Business up until June this year (I've since moved to another job): sounds like I made the right choice.

I know this is more likely to affect the Residential/Domestic side of the business, but part of the reason why SSE wants this is that they don't have a Commercial/Business division, or at least a very small one in comparison.

I hope the people I used to work with will be ok, jobs-wise: imo, there are good people working there.